Kruk S.A. — M&A Activity 2016

Dec 19, 2016

Current Report No. 123/2016

Date: December 19th 2016

Subject: Accepting an offer to acquire shares in a company operating onthe Spanish market

Legal basis: Art. 17.1 of MAR - Inside information

Text of the report:

The Management Board of KRUK S.A. ("KRUK", the "Issuer") announces thaton December 19th 2016 it was notified that the existing shareholders hadaccepted an offer to acquire shares in a company operating on theSpanish market of debt portfolio management (the "Company"). Pursuant tothe offer, the Issuer will acquire a total of 100% of the shares free ofany encumbrances and free of any third-party rights (the "Shares"). TheCompany consolidated revenue in 2015 amounted to EUR 4,1m (PLN 18,1m, astranslated at the mid-rate quoted by the National Bank of Poland forDecember 19th 2016). The acquisition of the Shares will be in line withthe KRUK Group's strategy announced for 2015-2019, under which the KRUKGroup will seek to grow also through acquisition projects. The partieshave agreed that the Share purchase agreement will be signed not laterthan January 31st 2017. The agreement will be announced by the Issuerpromptly after its execution in another current report.